A worker will become indifferent between spending the next hour on work or leisure if the benefit of another hour of work is:
A. less than the opportunity cost.
B. exactly equal to the opportunity cost.
C. constant for each additional hour worked.
D. greater than the opportunity cost.
Answer: B
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Money market mutual funds are funds pooled by
A) a group of people to buy shares of stocks. B) a group of people to buy stock market funds. C) a group of people to buy short maturity credit instruments. D) a group of people to buy U.S. Treasury bonds.
Which of the following is not a determinant of an individual's marginal product?
A) talent B) money income C) experience D) educational level
Ceteris paribus, if a 6% increase in price causes an 8% increase in quantity supplied, then: a. supply is elastic
b. supply is unit elastic. c. supply is inelastic. d. the supply curve is perfectly vertical.
If fixed costs are $960, variable costs are $1,440, and output is 12, then average total cost equals:
A. $ 80. B. $120. C. $200. D. $100.